Legal Question in Credit and Debt Law in Pennsylvania

Repayment of old loan

My husband and I were contacted by a collection agency today about a personal loan we took out atleast ten years ago. We were living in Fl. at the time we took out the loan, but the loan co. Was national. I believe the loan was for no more than 5000.. I think it was only for 3500., but I can't remember. We paid on that loan for about five years, then the loan co. was bought out and we never received any more monthly statements about our account. The guy who called my husband today at his job said we needed to make a lump sum payment of 1300.00, or he was going to take a law suit out against us and try to have our paychecks garnished for the amount of 400.00 a month, we cannot afford this. I don't even remember what we still owed. I know it could not have been 1300.00. Can they really take us to court?? Help what should I do. Thanks.


Asked on 6/06/01, 5:00 pm

1 Answer from Attorneys
Gerald Hershenson Law Office of Gerald M. Hershenson

Re: Repayment of old loan

I suggest you meet with an attorney. There is no garnishment of wages in Pennsylvania. However, there are several issues that need to be addressed and one is the statute of limitations. That places a time limit on debt enforcement and could bar that claim However, the facts must be reviewed in detail. The collection agency is way off base. If I can be of assistence please do not hesitate to call me. Gerald Hershenson 215-579-9390

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Answered on 6/28/01, 1:20 pm


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